Average Seasonal Price Contract
The Average Seasonal Price Contract (ASP) is a cash grain contract that allows producers to price a specific amount of bushels over a specific amount of time. The bushels and the time frame are set at time of contract.
Bushels on the ASP Contract are priced over a pre-determined time frame and are priced in equal amounts on a weekly basis over the time frame. Pricing will be done each Thursday at 2pm at the close of the CBOT market for that day. HTA contracts will use the closing futures price and cash contracts will use the closing cash price for the day at the location specified.
We will be offering the following contract periods for corn and beans.
July 2017 Corn and Bean pricing Pricing Period Jan 5, 2017-June 22, 2017 (25 weeks)
December 2017 Corn pricing Pricing Period Jan 5, 2017-Sept 14, 2017 (37 weeks)
November 2017 Bean pricing Pricing Period Jan 5, 2017-Sept 14, 2017 (37 weeks)
December 2018 Corn pricing Pricing Period Jan 5, 2017-Sept 13, 2018 (89 weeks)
November 2018 Bean pricing Pricing Period Jan 5, 2017-Sept 13, 2018 (89 weeks)
Example: Producer contracts 5000 bushels of corn for December 2017 delivery to Fremar-Salem. The pricing period is Jan 5, 2017-Sept 14, 2017. There are 37 pricing dates (Thursdays) during this period. 5000 bushels divided by 37 pricing dates would price 135 bushels per Thursday. At the end of this pricing period, the average cash or futures price will be determined and a contract with that price will be sent to producers.
Producers will have a one time opportunity to price out any unpriced bushels on any date during the day market session at the cash or futures price at that time.
Example: If producer is halfway through pricing period and market rallies to level where they would like to price the unpriced portion of the bushels, they can price it at current market on that date. The unpriced bushels will be averaged with the bushels that have been priced to date and will then generate one contract with the average price over the pre-determined amount of bushels. These bushels will be completely priced at this time.
The sign up deadline is December 30, 2016
No fee for contract
Pricing against specific futures
July 2017 Corn July 2017 CBOT Futures
July 2017 Beans July 2017 CBOT Futures
December 2017 Corn December 17 CBOT Futures
November 2017 Beans November 17 CBOT Futures
December 2018 Corn December 18 CBOT Futures
November 2018 Beans November 18 CBOT Futures